ENVIRONMENT FOOD AND RURAL AFFAIRS

Fisheries

Elliot Morley: From 1 January 1999 all British registered fishing vessels over 10 metres in length and catching more than 2 tonnes of quota stocks have had to demonstrate an economic link with fisheries-dependent communities in the United Kingdom. This link can be demonstrated in a number of ways, for example by vessels landing at least 50 per cent. by weight of their quota catch into the UK or by employing a crew of whom at least 50 per cent. are normally resident in a UK coastal area.
	In 2001, 1,438 vessels caught more than 2 tonnes of quota stocks and in each case achieved a satisfactory economic link, primarily through landings into the UK. The arrangements have resulted in UK-registered but foreign-owned vessels continuing to land and incur expenditure at UK ports. Additionally some 500 tonnes of quota was made available for re-distribution to the UK fleet.
	A full report by the Fisheries Departments in the United Kingdom on the operation of the economic link measures in 2001 and their impact has been placed in the Library of the House.

EDUCATION AND SKILLS

National Languages Strategy

Charles Clarke: Today we are publishing our National Languages Strategy.
	To date the focus for language learning has been targeted at secondary schools, when for many it is too late to excite and motivate the desire to learn another language This has resulted in a declining number of people post-16 studying languages and a shortage in the number of language teachers at both primary and secondary level.
	We want to increase flexibility in the curriculum at Key Stage 4 to give pupils the opportunity to pursue additional vocational routes, and therefore we have decided that Modern Foreign Languages should be an entitlement at Key Stage 4 and not a compulsory subject. We must recognise that our current system is not delivering the language learning system that is required in the 21st Century. It is our responsibility as a government to take steps to reverse this trend and re-build the capacity to deliver language learning at all levels, starting in primary schools and continuing to adult learning.
	The strategy that we are publishing today looks beyond the classroom in order to maximise and promote language learning opportunities. Our strategy will be geared towards both motivating individuals to learn—the push factor—while at the same time ensuring that high quality and appropriate opportunities are available—the pull factor. Creating the appetite for learning while at the same time broadening and enriching the options available, are the two key planks of our languages strategy.
	The starting point of this strategy is to provide a flexible system of language learning for all, to develop the capacity of the system so that every pupil at Key Stage 2 has the opportunity to study at least one foreign language by the end of this decade, and ensure that language learning has a key place in the transformed secondary school of the future.
	Our strategy therefore has three overarching objectives: to improve teaching and learning of languages, including delivering an entitlement to language learning for Key Stage 2 pupils by 2010, making the most of e-learning and ensuring that opportunity to learn languages has a key place in the transformed secondary school of the future; to introduce a national, voluntary recognition system, to complement existing qualification frameworks and give people credit for their language skills; and to increase the number of people studying languages in further and higher education and in work-based training by stimulating demand for language learning, developing Virtual Language Communities and encouraging employers to play their part in supporting language learning.
	We face a number of challenges, but we are committed to improving language learning. Our strategy proposes a number of measures to address these issues.
	First, we recognise that there is a shortage of modern foreign language teachers at secondary level, and relatively few primary teachers have been trained to teach languages. We will work with the Teacher Training Agency, with teachers and with other professionals and language experts to build a new pool of primary language teachers and other language specialists who can support language learning.
	But we must also recognise that our strategy alone is not enough to deliver our ambitions. We will extend and revitalise the Language Assistants programme and there will be more opportunities and incentives for language undergraduates to work in schools. But even this is not enough. We must, and we will, draw on the diversity of skills of language speakers within the community and other education institutions. We will do this by providing a short XTeaching a Foreign Language" qualification, to give people the additional teaching skills and recognition to work with teachers in the classroom.
	Secondly, there is little provision that targets individual learners, enabling them to learn at their own pace, and few opportunities for recognition at various stages of their learning either in school, further education, higher education or the workplace. We will introduce a new voluntary recognition system to complement existing national qualification frameworks and the Common European Framework. This will give people credit for their existing as well as newly-acquired language skills and form a ladder of recognition from beginner level to a standard which sits alongside GCSE, A level and NVQ national qualifications.
	Thirdly, we are aware that too many schools and teachers are working in isolation, without access to support networks. LEAs will have a key role to play in supporting schools in the implementation of the strategy. We propose that LEAs should be the co-ordinators of primary language learning programmes, ensuring that every primary school has a language co-ordinator and that by the end of the decade every Key Stage 2 pupil is offered the opportunity to study at least one foreign language.
	LEAs will provide expertise, commitment and a strong co-ordinating role drawing together headteachers; local Specialist Language Colleges; the Centre for Information on Language Teaching and Research (CILT) Comenius Centre networks; other schools with language strengths; Higher Education Institutions; business; and language speakers within the community and other education institutions.
	Finally, we acknowledge that whilst more schools are using ICT in language teaching, its use is underdeveloped in over three-quarters of primary schools and a third of secondary schools. We will continue to work with public and private sector providers to raise the quality and widen the range of online teaching and learning materials. We are determined to make the most of opportunities to collaborate with other countries by looking at how twinning can add to the learning experience.
	We will appoint a National Director for Languages to champion language learning and drive forward our strategy which will run alongside the Government's overall Primary Strategy to raise standards of literacy and numeracy in primary schools.
	Our strategy will be supported by direct investment, which will rise to #10 million per year by 2005–06. It will also benefit from our broader programmes to support the school workforce, invest in school improvement, and raise standards of teaching and learning, and from programmes managed by our key partners.
	Languages should take their proper place at the heart of initiatives and activities to further the wider social, economic and political agenda. To do this we must recognise the limitations of the current system and build the capacity to deliver a more flexible, responsive system of learning which embeds learning in primary schools and provides provision tailored to the needs of individuals of all ages, throughout their lives.

HOME DEPARTMENT

Proceeds of Crime Act

Bob Ainsworth: I am pleased to announce that my right hon. Friend the Home Secretary has appointed Mr Andrew Clarke as the Appointed Person under section 290 of the Proceeds of Crime Act 2002. He will act as an independent person to oversee searches conducted under new cash seizure powers where no prior judicial authority is obtained. He will also prepare and submit an annual report on the operation of the search power to the Secretary of State, a copy of which will be laid before Parliament. Mr Clarke's appointment will commence on 30 December 2002 to coincide with the introduction of the cash seizure powers under the Act.

Youth Offending Teams

Hilary Benn: To provide regular external scrutiny of youth offending teams (Yots) a new joint inspection programme has been developed by Her Majesty's Inspectorates of Probation, Constabulary and Prisons, the Social Services Inspectorate (England and Wales) and the education inspectorates, (OFSTED for England and ESTYN for Wales) in consultation with the Home Office and the Youth Justice Board.
	The programme is expected to start in April 2003. Its purpose will be to:
	'report to the Secretary of State and through him, Parliament and the public, on the effectiveness of Yots in fulfilling their statutory duties to prevent offending by children and young people and thereby protect the public, whilst safeguarding their rights and promoting their welfare'.
	It will assess the impact Yots and partner organisations have on offending, help to improve their performance and inform the further development of the YJB's effective practice and quality assurance strategy.
	Led by Her Majesty's Inspectorate of Probation, the inspection team will include representatives from the full range of inspectorates concerned with Yots' work. They will aim to inspect all Yots in England and Wales over a five to six year cycle.

TRANSPORT

Blue Badge Scheme

David Jamieson: I have considered the Disabled Persons Transport Advisory Committee's (DPTAC) recommendations on the scheme which were based on the responses to the discussion paper circulated to key disability organisations and others earlier this year. I have also discussed those recommendations with my colleagues in the devolved administrations and the Northern Ireland Office who have responsibility for the Scheme.
	We are proposing to take forward most of the recommendations that were made. A summary of our responses on each of the recommendations has been placed in the Libraries of the House.
	There are a number of areas in which we have undertaken to look at amending primary legislation, in particular to ensure that the tools needed for effective enforcement are available to local authorities and the police. We will be seeking opportunities to introduce those changes as soon as possible.
	We recognise the need to ensure that badges are only issued to those who most need them but we are not yet convinced that criteria for eligibility need to be restricted by law. With the devolved administrations and the Northern Ireland Office, we would prefer to see much clearer and stronger guidance issued to local authorities, as the issuing bodies, on how they should undertake that function. If, after a period of monitoring the impact of that guidance, it is clear that there are still problems with the policy on issuing, we would consider legislation at that stage. We will, in co-operation with the devolved administrations, be setting up a working group shortly to help us draw up common guidance that each administration will use.
	Further research is required in a number of areas, for example, to consider the setting up of a national database of badge holders. My Department will be taking that forward, in collaboration with the devolved administrations and the Northern Ireland Office, as part of our research programme.

FOREIGN AND COMMONWEALTH AFFAIRS

NATO Parliamentary Assembly

Jack Straw: The hon. Member for Chesham and Amersham (Ms Gillan) has replaced the right hon. Member for North East Hampshire (Mr Arbuthnot) as a member of the United Kingdom delegation to the NATO Parliamentary Assembly.

NORTHERN IRELAND

Oversight Commissioner

Paul Murphy: AIM
	1. The Oversight Commissioner is being appointed in order to provide independent scrutiny of the implementation of the changes in criminal justice arrangements and structures flowing from the Government's decisions on the Criminal Justice Review and the provisions of the Justice (Northern Ireland) Act 2002. These changes will be set out in the revised Implementation Plan to be published by early 2003.
	FUNCTIONS
	2. The Commissioner will monitor and review progress achieved in implementing change; receive information, as required, from the agencies responsible for progress; and provide public assurance about the implementation process.
	3. In pursuit of these functions, the Oversight Commissioner will:
	be provided with information, including objectives and timetables as appropriate, on the implementation of the changes to the criminal justice system. This information will be provided by the Department of the DPP(NI), the Court Service, the Probation Board (PBNI), the Prison Service, the Police Service (PSNI), and the Northern Ireland Office (NIO), and in respect of issues covering the criminal justice system as a whole will be co-ordinated by the Criminal Justice Board (which comprises the heads or senior representatives of the agencies listed above). Information may also be provided by other bodies as appropriate.
	Conduct progress review meetings with the agencies and, as appropriate, the Criminal Justice Board on the implementation of the criminal justice changes. Meetings may also take place with Ministers and officials and with other office-holders and bodies as appropriate. These meetings will be a forum to discuss issues arising from implementation and to enable the written information to be supplemented.
	Provide a report to the responsible Ministers (the Secretary of State, Lord Chancellor and Attorney-General) every six months. The Ministers will place these reports before Parliament and publish them (subject to the omission of any parts whose laying or publication would, in their opinion, be against the public interest or which might jeopardise the safety of any person). Such reports will include:
	an account of the progress which has been achieved in implementing the planned changes; and
	the Commissioner's observations on how any delays in implementation have arisen and how they might be addressed.
	Meet (at the Commissioner's discretion) with other relevant organisations or agencies, including the political parties and community leaders, to discuss progress in the implementation of the criminal justice changes.
	ACCOUNTABILITY
	4. Nothing in these terms of reference should be taken as affecting the responsibilities of the Secretary of State, the Lord Chancellor or the Attorney-General; or encroaching on the independence of the judiciary, the DPP(NI), or the Chief Constable in controlling and directing the Police Service; or the responsibilities of any other agency or the Policing Board.
	APPOINTMENT
	5. The Oversight Commissioner will be appointed by the Secretary of State, in consultation with the Lord Chancellor and the Attorney-General, for an initial term of three years, at which point the continuing need for the office will be reviewed. A separate note on the Terms and Conditions of Appointment will be agreed with the Commissioner.
	STAFF
	6. Appropriate staff to support the Commissioner will be provided by the Secretary of State, on terms determined by the Secretary of State.
	VARIATIONS
	7. These terms of reference may be varied at any time by the responsible Ministers [following consultation with the First Minister and Deputy First Minister]. Details of any changes will be published.

DEFENCE

Review Board for Government Contracts

Lewis Moonie: I am pleased to announce that the Government has accepted the findings of the Review Board Report that the existing Profit Formula should be retained pending the outcome of the next general Review which is expected in the second half of 2003. I am arranging for copies of the Report to be placed in the Library of the House.

Tri-Service and Army Training

Adam Ingram: On 17 October (Official Report, column 571) I announced that a special appraisal of the initial training of non-Officer recruits of all three services would take place. This review was to be conducted independent of Service and commands and to report directly to Ministers. The work is nearing completion and I now plan to make findings public in January next year.
	Surrey Police continue their investigation into deaths at Deepcut and it would be inappropriate to comment on this area until their inquiry is complete.

Royal Air Force

Adam Ingram: Her Majesty The Queen has been graciously pleased to approve the award of the Battle Honour XKosovo" to the Royal Air Force as listed below. Squadrons which were required to operate under constant threat of attack and had demonstrated gallantry and spirit during the allied air campaign over Kosovo during the period 24 March and 20 June 1999 have been awarded the battle honour XKosovo" with the right to emblazon the honour on their Squadron Standards. Squadrons which provided direct support to the air campaign have been awarded the honour XKosovo" without the right to emblazon the honour on their Standards.
	
		With the Right to Emblazon "Kosovo" on Squadron Standards
		
			  
		
		
			 Number 1 (Fighter) Squadron Harrier GR7 
			 Number 9 Squadron Tornado GR1 
			 Number 14 Squadron Tornado GR1 
			 Number 31 Squadron Tornado GR1 
		
	
	
		Without the Right to Emblazonment
		
			  
		
		
			 Number 7 Squadron Chinook 
			 Number 8 Squadron E3D 
			 Number 23 Squadron E3D 
			 Number 51 Squadron Nimrod 
			 Number 101 Squadron VC10 
			 Number 216 Squadron Tristar

Defence Intelligence and Security Centre

Adam Ingram: The Stage 1 Report of the Quinquennial Review (QQR) of the Defence Intelligence and Security Centre (DISC) Defence Agency has today been published and copies of the report placed in the Libraries of the House.
	I announced terms of reference for Stage 1 of this review in the reply I gave on 20 July 2001 (Official Report, column 710W) to my hon. Friend the Member for Glasgow Maryhill (Ms McKechin).
	In line with central guidance on QQRs, the principal question addressed during Stage 1 has been whether the Ministry of Defence continues to require an in-house intelligence and security training capability The clear conclusion from Stage 1 is that the provision of defence intelligence and security training is essential; the events of September 11 and subsequent operational activity has confirmed this. Following careful analysis of the current arrangements for delivering this training and taking into account the requirements and views of training sponsors and customers, it is clear that the DISC remains a cost effective means of delivering this function.
	The study concluded that the Agency performs this function well, but identified two issues that have reduced its overall effectiveness. These relate to the dual role of the Chief Executive (who is also Director of the (Army) Intelligence Corps) and to a lack of clarity around the margins of the Agency's function concerning the provision of operational manpower and of policy type advice. The study has clarified that the core role of the DISC should be the provision of intelligence and security training The QQR team addressed this in its Stage 2 work and identified a range of specific solutions to these issues.
	In relation to the issue of dual-hatting, the Agency's Owner has already taken steps to mitigate diversion of the Chief Executive's (CE) efforts. A separate study has been commissioned to review the Command and Control arrangements for the DISC and for Intelligence Corps units, and to develop a framework for the command and control of the DISC that will separate the appointments and thereby de-conflict the various responsibilities of the CE. This will provide a clear distinction between the CE as a customer and as a provider, removing any confusion or conflict between the two roles. The study will report in February 2003 and its findings will inform both the DISC Key Targets for Financial Year 2003–04 and bids for funding.
	In relation to a lack of clarity around the margins of the Agency's function, the Owner is also taking steps over the next few months to transfer the Agency's operational role. The precise timing and nature of this will be determined as part of implementation of the recommendations of the Strategic Defence Review New Chapter. Additionally, the Owner has taken action to constrain the extent to which the DISC provides advice on intelligence matters to a level that is commensurate with its training role.
	The study also noted that the central issues affecting the core role of the DISC must be considered in the context of implementing the pan-MOD Defence Training Review (DTR) and the two strands of work co-operated closely throughout the QQR. DTR will rationalise the provision of individual education and training in MOD, including intelligence and security training and is thus approaching the functions of the DISC from a broader perspective. Recent decisions on the early implementation of DTR at Chicksands have increased the significance of this work The proposed joint Security, Languages, Intelligence and Photography (SLIP) Defence Training Establishment (DTE) that will subsume the DISC is to be implemented with effect from April 2003 as an early demonstration of the progress towards rationalisation that DTR will bring.
	We have concluded that the DISC should remain an Agency within MOD, in view of the benefits of rationalised training and increased visibility and accountability this has already delivered. In addition to the Stage 2 work described above, additional work has been completed on improving the Agency's Key Targets and on investigating the potential for increasing the application of E-Learning to intelligence and security training, which is consistent with recommendations of the Defence Training Review. This will enable the Agency to achieve its full potential as a centre of training excellence.
	The Key Targets proposed for the Defence Intelligence and Security Centre (DISC) Defence Agency for Financial Year 2002–03 have been agreed, following consideration of the recommendations of the Quinquennial Review of DISC, the findings of which have now been announced to Parliament. These are the targets the Agency has been working to throughout this year.
	The role of the DISC is to train the Armed Forces and other Intelligence agencies in intelligence and security disciplines, and conduct after capture; to maintain an operational capability; and to contribute effective and timely advice to the Armed Forces on appropriate intelligence and security training matters. The Key Targets for the Agency for the 12 months from April 2002 are:
	Key Target 1—Training Output—Quantity
	To deliver, within the resources available, the agreed Training Programme and to establish an accurate baseline of the number of successfully completed Man Training Days (MTDs) within the Systems Approach to Training (SAT) process, to be used for comparative measurement in Financial Year (FY) 2003–04.
	Key Target 2—Training Quality
	To ensure that at least 80 per cent. of Training courses complete Internal Validation, to introduce a programme of External Validation, and to complete at least 10 per cent. of External Validations within FY 2002–03, through the application of the Systems Approach to Training (SAT) methodology.
	Key Target 3—Efficiency
	To reduce the current cost of delivering the average training place made available by 2 per cent. (#3 per day) in FY 2002–03, and to establish the average cost of a successfully completed MTD to be used as a measurement from FY 2003–04.
	Key Target 4—Operations
	To satisfy the operational tasking of the Defence De-briefing Team (DDT) and the Field HUMINT Team (FHT).

Service Accommodation

Lewis Moonie: The contract for the first phase of the #1 billion Single Living Acommodation Modernisation (SLAM) programme was awarded today.
	The contract is being awarded to Debut services, a Birmingham based consortium led by Bovis Lend Lease and Babcock Support Services, who will work in close co-operation with Defence Estates (an Agency of MOD) and Service Client representatives to achieve the delivery of the project.
	The contract comprises new build and refurbishment projects across the country and will deliver primarily single room en-suite accommodation. This will meet the aspirations of our single servicemen and women for improved living conditions that meet modern standards and is the result of extensive consultation of service personnel. This is particularly relevant, as one of the main reasons for personnel leaving the Services is the current poor quality of living accommodation.
	The Project is planned to upgrade progressively the worst accommodation to Grade 1 physical condition over a five-year period. This will involve in the region of 16,000 bedspaces and ancillary accommodation across all ranks of single servicemen and women in the three services.
	The contract is being awarded on XSmart Procurement" principles and contains an innovative incentivised condition to encourage the Prime Contractor to work more efficiently.

DEPUTY PRIME MINISTER

Greater London Authority

Tony McNulty: I am today issuing a consultation paper on proposed changes to the rules for London Mayoral and Assembly elections. This consultation follows from recommendations which were made by the Greater London Returning Officer earlier this year. Copies of the consultation paper will be placed in the House Library.

Electoral Pilots

Nick Raynsford: The Government is looking at many ways, including e-voting, to modernise our electoral system and to increase the opportunities that people have to vote. To test the robustness of the new options and to build public confidence in them, we are continuing to promote an extensive programme of pilot innovations at local elections.
	In September we, in conjunction with the Electoral Commission and the Local Government Association, published a prospectus inviting applications from English and Welsh local authorities to apply to run electoral pilots at local elections in 2003. The closing date for applications to run pilots in the May 2003 local elections was 29 November 2002.
	Today I am able to announce that I have accepted 41 applications to hold non e-voting pilots at the May 2003 local elections. The names of the successful local authorities and the type of pilot that they are planning to hold are listed at the end of this statement. The next step will be for us, working with authorities and in consultation with the Electoral Commission, to draw up the statutory orders authorising the pilots.
	I am pleased that, following consultation with the independent Electoral Commission, we are able to take forward so many applications. The standard of applications demonstrates the commitment of local authorities to meeting the Government's exacting requirements. These pilots are an important step towards making elections more relevant, straightforward and accessible for voters.
	Of 41 applications accepted, 33 involve all-postal ballots. Five applications include e-counting, three in combination with an all-postal ballot. Three authorities plan to extend the voting hours, including voting on a number of days before the main polling day of 1 May. The other 4 applications are to pilot changes to ballot papers and their administration. Altogether, these pilots will cover 4.8 million electors.
	We expect to announce in mid-January which of the applications to hold e-voting pilots at the May 2003 local elections have been accepted.
	All-Postal Pilots   Total: 30 Blackpool Borough Council
	Blyth Valley Borough Council
	Bolton Metropolitan Borough Council
	Brighton & Hove City Council
	Chesterfield Borough Council
	Corby Borough Council
	Darlington Borough Council
	Doncaster Borough Council
	East Staffordshire Borough Council
	Gateshead Metropolitan Borough Council
	Guildford Borough Council
	Herefordshire Council
	Hyndburn Borough Council
	Borough Council of King's Lynn & West Norfolk
	City of Lincoln Council
	Newcastle City Council
	North Lincolnshire Council
	North Shropshire District Council
	Rotherham Metropolitan Borough Council
	Rushcliffe Borough Council
	Rutland County Council District Council
	City of Salford Council
	Sedgefield Borough Council
	St. Edmundsbury Borough Council
	Stevenage Borough Council Stockton-on-Tees Borough Council
	Sunderland City Council
	Borough of Telford & Wrekin Council
	Trafford Borough Council
	Wansbeck District Council
	All-Postal & E-Counting Pilots   Total: 3 Derwentside, Chester-le-Street, and Wear Valley District Councils (joint application) Redcar & Cleveland Council
	St. Helens Council
	E-Counting Pilots   Total: 1
	Broxbourne Borough Council
	Other Pilots (with traditional elections)   Total: 7 Borough of Charnwood Council: Watermark on ballot paper
	Manchester City Council: Automated issue of postal ballot papers
	Medway Council: Extended voting hours
	North Kesteven District Council: Ballot paper changes and limited mobile voting
	North West Leicestershire District Council: Watermark on ballot paper
	South Oxfordshire District Council: Extended voting hours and limited e-counting
	Royal Borough of Windsor & Maidenhead Council: Extended voting hours and early mobile voting

Local Government Bill

Nick Raynsford: Last year's Local Government White Paper announced that each best value parish or town council would be paid a grant of #30,000 per year when legislation permitted. This sum would cover audit costs and the corporate costs of carrying out work relating to best value, such as the preparation of performance plans and the management of reviews.
	Provision has been made in the Local Government Bill, published last month, to enable these grants to be paid. Subject to Parliamentary approval, we expect to make the first payments in 2003–04, providing councils with a grant of #45,000, comprising #30,000 for 2003–04 and #15,000 for 2002–03.
	We have also agreed that, on an exceptional basis, the Audit Commission will not charge their fees for auditing best value town and parish councils' 2003–04 performance plans, and will reimburse the fees paid by these councils for auditing their 2002–03 performance plans. This should amount to a total saving of approximately #10,000 for each best value town and parish council.

Building Regulations

Christopher Leslie: Too many people experience noisy neighbours, whether late night parties, or loud television. This can have a significant impact on quality of life. It is also one of the things councils get the most complaints about. At a time when we are encouraging the construction industry to build to greater densities, this issue is even more important.
	That is why I am publishing official guidance on new amendments to the Building Regulations, which will be available this week. The amendments and guidance will improve standards of sound privacy between homes, and will go further to improve the sound insulation of walls and floors within the home, as well as between rooms in hostels, hotels and residential homes.
	The scope of Part E of the Building Regulations will extend beyond separating walls and floors in houses and flats, to deal with reverberation in the common parts of blocks of flats, and also acoustic conditions in schools. The new requirements for Part E come into force on 1 July 2003.
	We are also addressing the need to remove barriers to trade in construction products by providing guidance on new European fire safety testing measures for those products. This will enable manufacturers to more easily comply with European Standards as well as existing British Standards.
	Amendments to the Approved Document for Part B of the Building Regulations come into effect on 1 March and will facilitate harmonisation between our existing national test procedures and those which have been produced in support of the Construction Products Directive (CPD).

Boundary Commission for England

Nick Raynsford: I have today appointed, for a second term, Mr Robin Gray as a member of the Boundary Commission for England. His appointment is effective until 31 December 2006.

HEALTH

Plasma Supplies

Hazel Blears: On the evening of Monday 16 December, the Department of Health completed its purchase of the largest remaining independent US plasma collector, Life Resources Incorporated. This will secure long-term supplies of non-UK blood plasma for the benefit of NHS patients, and ensure that the current global plasma shortage will not reduce the availability to National Health Service patients of life-saving plasma products. An independent option appraisal conducted by KPMG concluded that this purchase was the most cost-effective way of achieving these objectives.
	Plasma is used to manufacture products for the treatment of a wide range of conditions. Every year the NHS uses:
	5,000 kilos of albumin for the tens of thousands of patients treated for burns, shock and major trauma.
	2,000 kilos of intravenous immunoglobulin for patients with immune disorders. This includes 1,800 patients with primary immune deficiency who require an injection every 2–3 weeks throughout their lives to protect them against infection. Thousands more patients are given intravenous immunoglobulin to treat neurological and other conditions.
	120,000 bottles of Anti-D immunoglobulin to protect unborn children suffering from haemolytic diseases of the newborn. This affects roughly 64,000 pregnancies a year and, in a small number of cases, can cause stillbirth, severe disability or death after birth from anaemia or jaundice.
	400,000 bottles of Factor VIII to treat around 3,000 haemophilia patients.
	Around 45 per cent, of the plasma products needed by the NHS in England and Wales are manufactured by the NHS-owned Bio Products Laboratory. The remainder are purchased by the NHS on the open market from third party commercial suppliers. In 1998, the Government instructed BPL to stop using UK plasma to make these products because of concerns about the theoretical risk from variant Creutzfeldt-Jakob Disease. Since then, BPL has purchased plasma from the United States. The US has no reported cases of Bovine Spongiform Encephalopathy and is the only country able to supply the quality of plasma that BPL needs in sufficient quantity. The US collects 60 per cent, of the world's plasma and supplies between 35 per cent.–45 per cent, of the plasma products used in Europe alone.
	Up to now these supplies have been dependent on contracts with US plasma collection companies. Over the past two years most of these companies have been purchased by commercial manufacturers wishing to secure their own plasma supplies. This radically reduced the amount of US plasma that BPL could buy under contract and threatened our ability to supply sufficient non-UK plasma products to NHS patients.
	Without continuing secure supplies of US plasma, BPL faced shutdown by 2004 with a consequent removal of massive volumes of plasma products from the NHS market. Independent market analysis by KPMG demonstrated that commercial suppliers would not be able to provide sufficient, secure supplies of plasma products to the NHS if BPL closed. Immediate action was therefore needed to secure long-term supplies of high quality, US plasma for BPL.
	The Department of Health has purchased the trade and assets of Life Resources for an up front payment of #48.8 million with a further #21 million tied into the performance of the company up until the end of 2006. The Department has paid a commercial price for the business assets based on same analysis as a private sector purchaser would have undertaken.
	Life Resources has supplied BPL with plasma since 1999. It has extremely high quality and safety standards overseen by the US Food and Drugs Administration and the UK Medicines Control Agency. All the company's collection centres are inspected by BPL on a rolling two year programme. BPL's team also inspected every centre prior to the purchase.
	An effective corporate governance regime has been established for the ongoing management of Life Resources. The company will be run by its existing US management team and report to a US parent company, DCI Biologicals Incorporated. DCI Biologicals will report to a UK parent company, Plasma Resources Ltd. The Board of Plasma Resources Ltd is chaired by Richard Douglas, the Department of Health's director of finance and investment.
	The Government has appointed Mr Philip Gushing as non-executive chair of DCI Biologicals. Mr Gushing is highly qualified for this role. His previous positions include Chief Executive of Inchcape (1996–9) and Chief Executive of Vitec Group PLC (2000–1). He is also currently Chairman of Paragon Print and Packaging Limited, Spalding, Lincs, and a non executive director of Ikon Office Solutions Inc, Philadelphia, USA. He was appointed to Chair DCI because of his extensive international business experience, including a career involving American operations since 1977. He also has extensive international acquisitions experience built up over 20 years.
	This deal is a logical extension of the existing relationship between the NHS and an established US plasma supplier, Life Resources, and is a pragmatic solution to the problem of securing supply.

CULTURE MEDIA AND SPORT

Reviewing Committee on the Export of Works of Art

Tessa Jowell: The Forty-eighth Report of the Reviewing Committee on the Export of Works of Art for 2001–02 has been published today and copies have been laid before Parliament. The Reviewing Committee provides independent advice to the Minister for the Arts on the pre-eminence of cultural objects seeking export licences, using the Waverley criteria. During the year, following recommendations from the Reviewing Committee, temporary bars were placed on the export of 34 objects, including paintings, drawings, photographs, sculptures, furniture and manuscripts. Of these, 20 items valued at #2.7 million were purchased by institutions in the UK. The report contains the Reviewing Committee's comments on policy matters relating to the operation of the export control and the protection of cultural objects, and details of each case considered during the reporting year 1 July 2001–30 June 2002.

LORD CHANCELLOR

King Edward VIII (Abdication)

Rosie Winterton: In an answer to a written Question on 11 June 2002, I stated that official papers relating to the abdication of King Edward VIII would need to be re-reviewed by Departments before release and that it was hoped that the results of the review would be known and put into effect by the end of the year. I am pleased to announce that the review has now been completed; the papers have been identified and are now being prepared for release. It is expected that they will be made available at the Public Record Office during January.